Packaging Powers America's Economy

Every day, packaging quietly powers our economy – protecting products, enabling commerce, and creating opportunity across the United States. The data tells a remarkable story.

At $537.91 billion in total economic output – roughly 2.5% of the U.S. GDP – the packaging industry's impact is larger than many better-known sectors. It directly employs nearly 490,000 Americans – more than the entire oil and gas extraction industry – and supports a total of 1.69 million jobs nationwide. In fact, the average packaging professional earns more than $77,000 annually in wages and benefits, contributing to a total of $117.73 billion in earnings across the industry. 

The industry's economic ripple effect extends far beyond direct employment. Packaging generates $242.66 billion through direct economic activity, another $175.66 billion through supplier activity, and contributes $43.46 billion in federal, state, and local tax revenues. This impact strengthens the industrial heartland. While California leads in manufacturing and fulfillment jobs with 47,677 positions, it is followed by Illinois, Texas, Pennsylvania, and Ohio, creating robust economic hubs across the country.

"Packaging generates $242.66 billion through direct economic activity, another $175.66 billion through supplier activity, and contributes $43.46 billion in federal, state, and local tax revenues."

The industry also is driving innovation in sustainability through state-sponsored or state-partnered organizations that focus on R&D and/or economic development to grow recycling opportunities, called recycling market centers. Present in 19 states, these centers have generated nearly 990,000 full-time jobs and $77.8 billion in wages and benefits over three decades. The impact is tangible: for every $100,000 invested in these centers, states see measurable growth in recycling-related industries, proving that packaging isn't just about protecting products – it's about powering our financial future.

Learn more about how packaging is powering your state or local community. Download our data-driven studies:

Doing Our Part for Sustainability

States are setting mandates for recycled plastic content in packaging – and industry is stepping up to meet them. Based on our forthcoming data, we expect industry to supply producers with enough recycled content to fulfill these requirements:

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Packaging Claims Laws Create

Compliance, Policymaking Challenges

During a recent educational webinar series hosted by AMERIPEN, regulatory specialists outlined how divergent approaches between state and federal oversight of recyclability claims are creating compliance challenges and building tensions between preventing consumer deception and increasing packaging recovery rates.

One fundamental tension stems from differing interpretations of what constitutes a valid recyclability claim. The FTC's Green Guides—commonly used among marketers—focuses on whether materials can be recycled. In contrast, California's SB 343 sets a more stringent standard requiring proof of actual collection, sortation, and recycling among other specific criteria.

Another thorny issue involves the use of resin identification codes (RICs) surrounded by the "chasing arrows" symbol, commonly found on plastic packaging. Chasing arrow RICs are required in more than 30 states, but under California law will be prohibited unless recyclable criteria are met. As a result, businesses must either make separate packaging for separate states, risk putting packaging on the market that's potentially in violation of some state laws, or cease doing business in some states altogether.

"As a result, businesses must either make separate packaging for separate states... or cease doing business in some states altogether."

Looking to solutions, webinar presenters outlined several potential frameworks, including third-party certification programs accredited by federal agencies. Key considerations include determining which federal agencies should have jurisdiction, balancing consumer protection with recovery goals, and ensuring alignment with state extended producer responsibility laws for packaging.

"It's a national market," emphasized Joe Dages, a partner at Steptoe and one of the webinar presenters. "If you have different standards for claims in different states, consumers conceivably could be more confused by that, and consumer deception could actually be promoted rather than prevented." He drew a parallel to standardized nutrition labeling on food products, in which Congress determined a national framework provided clear benefits.

The need for resolution is becoming more urgent as states continue to develop their own approaches. Without federal action, more states may follow with their own potentially conflicting requirements, creating further challenges for both industry compliance and consumer understanding.

Learn more about AMERIPEN’s educational opportunities at www.ameripen.org. 

Get To Know AMERIPEN

AMERIPEN leads critical policy discussions across the country to advance positive solid waste management solutions like sustainable materials management, life cycle thinking, and more.

By fostering innovation and research within the packaging industry, AMERIPEN supports the development and adoption of cutting-edge, sustainable policies, practices, and technologies.

AMERIPEN prioritizes educational initiatives to empower industry leaders and policymakers with the knowledge and tools needed for sustainable packaging solutions.

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